Project #79272 - AMD Construction (BUS614 Advanced Procurement Planning)

The text is: Purchasing and Supply Chain Management (3rd Edition) W.C. Benton, JR (The Max M. Fisher College of Business The Ohio State University)

 

Read Case 3: AMD Construction in the text (pg. 448-450), and answer the following questions in a three- to four-page paper, excluding the title and reference pages, justifying your conclusions.  Your paper should be formatted according to APA style as outlined in the Ashford Writing Center.  

  • After reviewing Chapter 14, evaluate the negotiations between Tom Reed and Jane Axle.  What are your recommendations for Jane Axle as far as the next step in the negotiation process?  
  • Develop a comprehensive quantitative analysis of the negotiations between Jane Axle and Tom Reed. Provide a chart to show financial impacts (see suggestion of format for quantitative analysis of the negotiations below) 

 

 

Suggestion of format for quantitative analysis of the negotiations:

 

 

Current Machine

CAT-1 machine-purchase

CAT-1 machine - Lease

Operating cost (without operators)

 

 

 

Direct Labor  

 

 

 

Depreciation (straight line) 4 months

 

 

 

Lease Expense 4 Months

 

 

 

Interest expense at 8% for 4 months

 

 

 

Salvage Value after 3 years

 

 

 

Unexpected Costs

 

 

 

Totals

 

 

 

 

 

 

Subject Business
Due By (Pacific Time) 08/15/2015 09:00 am
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